Continuation of Customs Talks between the United States and China
Let's dive into the latest round of trade talks between the United States and China, which occurred over eight hours in Geneva - the first such discussion since President Trump instigated a trade war. The key participants were US Treasury Secretary Steven Mnuchin and Chinese Vice Premier He Lifeng.
The Economic Landscape
Both countries have faced significant trouble as a result of the escalating tensions and hefty tariffs on each other's goods. The world is keeping a close eye on these negotiations, as their outcome could shape the future of global trade. Trump's proposed tariffs have led to chaos in the stock markets worldwide.
Tariff Talks and Compromises
Though the US and the UK recently marked the beginning of their bilateral trade deals, the one with China is of crucial importance due to the massive trade volume and its significance for the global economy. Presently, the US and China have imposed tariffs of over 100% on each other, with China also restricting the export of rare earth metals vital for electric vehicles. However, Trump recently announced exemptions for specific electronic components necessary for US companies.
Trump showed some flexibility in his stance, stating that tariffs of 80% on Chinese goods could be appropriate. Currently, tariffs stand at 145%. Yet, Trump's spokeswoman Karoline Leavitt emphasized that Beijing must also make concessions, as Washington will not unilaterally reduce tariffs.
A Glimpse of the Negotiations
China has consistently stressed the need for the US to remove its tariffs first. Chinese economist Xu Bin commented that the Geneva meeting was essential to show that "both sides are talking" and that it's already significant in itself. It's worth noting that China is the only country that has imposed retaliatory tariffs against Trump's tariffs. Before the meeting, Mnuchin said the talks in Geneva would focus on "de-escalation" rather than a "grand trade deal." He remained tight-lipped after the discussions.
Sources: ntv.de, mau/rts/AFP
- Steven Mnuchin
- Donald Trump
- Tariffs
- Trade Conflicts
- China
- USA
- The ongoing trade talks between the US and China, kicked off in Geneva, mark the first discussions since President Trump initiated a trade war, with key participants being US Treasury Secretary Steven Mnuchin and Chinese Vice Premier He Lifeng.
- Trump's proposed tariffs have sparked chaos in stock markets worldwide, and the world watches these negotiations closely, as their outcome could influence the future of global trade.
- In the context of their bilateral trade, the US and China have imposed tariffs exceeding 100% on each other's goods, with China also restricting the export of rare earth metals essential for electric vehicles.
- However, Trump recently announced exemptions for specific electronic components necessary for US companies, showing some flexibility in his stance, stating that tariffs of 80% on Chinese goods could be appropriate, while current tariffs stand at 145%.
- Trump's spokeswoman, Karoline Leavitt, highlighted that Beijing must make concessions, as Washington will not unilaterally reduce tariffs, preparing for whatsapp updates regarding the outcome of the negotiations that could impact finance, business, politics, and general-news.
